KUCHING: Malaysia’s construction sector is poised for significant growth in 2025, driven by large-scale infrastructure projects, increased industrial investments and rising demand for affordable housing.
This growth is set against a backdrop of robust 20 per cent industry expansion in the second half of 2024, spurred by a resurgence in infrastructure activities, public and private investments and a rebound in tourism.
Key infrastructure projects such as the East Coast Rail Link (ECRL), Rapid Transit System (RTS) Link, Pan Borneo Highway and the expansion of data centres by global tech giants like Amazon Web Services (AWS), Microsoft and Google, are expected to be pivotal in boosting the sector further.
In addition to these mega-projects, the government’s commitment to affordable housing under Budget 2025 has significantly bolstered the residential buildings sector, offering opportunities for developers to meet growing market demand.
Nippon Paint Malaysia general manager Tay Sze Tuck commented that as the nation embarks on these exciting projects, the construction industry must adopt innovative solutions and foster close collaborations to remain resilient and competitive.
“For the past two years, Nippon Paint has secured more than 100 Total Coating & Construction Solutions (TCCS) projects and we anticipate further growth in 2025, reflecting the industry’s trust in our construction solutions,” he said.
In light of this, Tay said that Nippon Paint anticipates that refurbishments for residential buildings will be a growing segment for construction activities in 2025.
According to him, Malaysia’s ageing buildings present a critical need for refurbishment, as many structures face issues such as structural safety risks, loss of property value, air quality and deteriorating aesthetics, with water leakages being one of the primary sources of these problems.
These problems, he said, threaten the integrity of the buildings and affect their functionality, value and appeal.
However, he added, the industry acknowledges that residential properties continue to face challenges brought on by budget constraints when it comes to refurbishment, as it is often a costly endeavour.
“We find that building management often relies on cheap, temporary solutions rather than addressing waterproofing issues at their root which increases long-term cost.
“When it comes to building refurbishment, Nippon Paint Malaysia’s Total Coating and Construction Solutions (TCCS) addresses these challenges by working closely with the building management, offering expert inspection services and tailored budget planning. TCCS prides itself on its excellent workmanship and materials know-how as we focus on providing customised compatible system solutions for a specific problem.
“When building owners neglect the root causes of water leakage, recurring issues and escalating maintenance costs often follow. Nippon Paint Malaysia is at the forefront of advancing waterproofing technologies, offering innovative re waterproofing and repainting solutions.
“Designed to provide long-term protection, Nippon Paint’s comprehensive waterproofing systems minimise the need for frequent repairs and maintenance, ensuring lasting durability and offering property owners peace of mind.”
Several factors are contributing towards an industrial property boom in Malaysia.
Citing Malaysian Investment Development Authority, Tay noted that Malaysia’s manufacturing sector remains a key driver of the economy, recording a 5.3 percent expansion in the third quarter of 2024.
He pointed out that Asean has set its sights on building economic resilience through enhanced supply chain connectivity, which is expected to lead to the establishment of more local manufacturing hubs.
“Additionally, Malaysia is strategically positioning itself as a regional data centre hub, creating opportunities for more data centres to set up operations in the country.
“Therefore, Nippon Paint believes that prospects for the manufacturing and data centre sectors are on a path of sustainable growth in 2025. The company is committed to becoming the leading coating and construction solutions provider for the anticipated industrial property boom.
“Industrial properties, particularly those in the manufacturing sector, must adhere to strict construction compliance codes. These codes address critical aspects such as structural safety, durability, and most importantly, occupational and hygiene.”
As such, he stated that to address these challenges, Nippon Paint is investing heavily in advanced flooring solutions that enhance durability, safety and aesthetic appeal.
“Flooring, though often overlooked in construction, represents a significant and underappreciated market.
“An expert understanding of high-quality flooring coatings plays a critical role in enhancing the durability and safety of industrial buildings.
“From industrial flooring for production facilities, chemical plants to food-safe options for food processing and cold storage as well as anti-static solutions for data centres and semi-con, these solutions are essential to ensuring industrial properties comply with current standards.”
Looking ahead, Tay highlighted that Nippon Paint aims to expand its footprint across infrastructure, industrial, and residential developments.
“With the industry’s primary focus on transformative infrastructure and industrial projects, he said that Nippon Paint sees immense opportunities to support both government and private sector initiatives.
“We remain committed to strengthening collaborations and expanding our footprint in refurbishment, industrial, infrastructure and residential developments, offering compatible system solutions for long-term durability, efficiency and enhanced performance.
“For 2025, our aim is to grow Nippon Paint’s TCCS more aggressively and become the market leader in addressing the industry’s most pressing challenges, offering the reliability and efficiency that elevates the standards within the construction industry.
“Whether for new builds, industrial developments, or refurbishment projects, we are proud to enhance Malaysia’s thriving construction industry with innovative solutions that drive productivity and excellence,” he added.
